HDFC Standard Life shares rise 18.7% on debut

MUMBAI: Shares of HDFC Standard Life Insurance Co. Ltd rose 18.71% on their debut on the bourses on Friday, posting the best listing day gains among all the insurance companies that listed this year.

HDFC Standard Life shares closed at ₹344.25 apiece on the BSE, up 18.71% from the issue price of ₹290, which was the upper end of the price band of ₹275-290 per share.

In comparison, the 30-share benchmark index Sensex closed 0.71% higher at 33,342.80 points.

The insurer’s shares opened 7.24% higher on the BSE at ₹311 apiece and touched a high of ₹369 and a low of ₹307.65 during the day. The issue was subscribed 4.90 times when it closed on November 9. Analysts had given a thumbs up to the initial public offering (IPO) citing fair valuations and better return and margins prospects going ahead owing to the strong prospects of the life insurance industry in the world’s second-most populated country.

The IPO, a pure offer for sale, saw the two promoters of the life insurer—housing Development Finance Corp. (HDFC) and Standard Life—sell 299.82 million shares, fetching ₹8,695 crore. The IPO valued the company at ₹58,277 crore. It’s both a challenge and an opportunity. If we (the West) don’t globalise, you’ll globalise without us. Look what’s happening with the TPP (Trans Pacific Partnership). (US President Donald) Trump came in and pulled out of the deal and now the other 11 nations are trying to pull it off alone. It’s an opportunity for the developing world. I think